Seanad debates

Tuesday, 27 June 2017

Commencement Matters

Local Improvement Scheme Funding

2:30 pm

Photo of Shane RossShane Ross (Dublin Rathdown, Independent) | Oireachtas source

I thank Senator Gallagher for raising this very important subject. I am well aware of it thanks to him and others who are, obviously, adversely affected by this and I understand its importance to him and others, particularly in rural areas. I regret the fact that it was withdrawn. We would very much like to see it restored as soon as possible when financial constraints allow it.

First, the improvement and maintenance of regional and local roads is the statutory responsibility of each local authority in accordance with the provisions of section 13 of the Roads Act 1993. Works on those roads are funded from the councils' own resources supplemented by State road grants. The initial selection and prioritisation of works to be funded is also a matter for the councils.

Ireland has just under 100,000 kms of road in its network and the maintenance and improvement of national, regional and local roads place a substantial financial burden on local authorities and on the Exchequer. Due to the national financial position, there have been very large reductions in Exchequer funding available for roads expenditure over the past number of years. For this reason, the focus has had to be on maintenance and renewal of public roads. The maintenance of private laneways-roads not taken in charge by local authorities is the responsibility of the landowners concerned. A local improvement scheme is in place whereby a contribution can be made by the State towards the cost of maintaining these Ianeways-roads. Local improvement schemes are permitted under section 81 of the Local Government Act 2001. Due to the cutbacks in roads funding, regrettably, it was necessary for the Department to stop making separate allocations to local authorities in respect of local improvement schemes. The approved scheme remains intact and within it, local authorities can use a proportion of State grant funding - 15% of the discretionary grant in 2017 - for local improvement schemes should they wish to do so.

The reason a separate State grant allocation is not being made for local improvement schemes is that given funding constraints, a ring-fenced allocation would result in a pro ratareduction in funding for public roads in a situation where public roads are significantly underfunded. In other words, it would just involve taking money out of one place and putting it into another. While 2017 will see a modest increase in funding for roads, it will take some years under the capital plan to restore steady State funding levels for regional and local roads. The primary focus must to continue to be on the maintenance and renewal of public roads.

Notwithstanding this, I understand the importance of the local improvement scheme to assist the development of rural Ireland. In light of the provision in the programme for Government indicating that as the economy recovers, the Government will promote increased funding for community involvement and local improvement schemes, I will review the scope for making a separate grant allocation once the planned review of the capital plan is completed. That is due later this year. In the interim, the local improvement scheme remains in place with no separate allocation.

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